What i don’t understand that why the price goes up for finished products, it is already made, raw materials used and manufacturing is paid.
If the store already has 10 TVs in the store, why the price go up?
If you have a given amount of packaged bread already in the store why the price goes up?
Edit1: Lightbulb from many: Restock… You need to restock on current price, if you don’t follow the price you gonna lose money
However the “willing to pay” argument is kind of maddening, because with basic necessities like food “willing to pay” is reversed, controlled by seller and transformed to “have to pay and going to do so”
In: 0
There are 10 TVs in the store and 10 Customers willing to buy them. Great! That will be $100 each, everybody gets a TV everybody’s happy.
But what happens if there are only 8 TVs and 10 Customers willing to buy them? Well, maybe Customer 9 has a little more money than Customer 8 and offers to pay $120 for the TV, the shopkeeper agrees and those that pay the most will buy the TVs.
Only in the real world the shops know when the demand exceeds the supply and pre-emptively raise the price.
Latest Answers